top of page
Writer's pictureBluwave

Tax Policies and Housing: Further Entrenching Inequality?




Luxon’s financial gains from untaxed property sales—nearly half a million dollars—illustrate a system where the wealthy benefit disproportionately from tax laws that do not address income inequality ​(Property Noise). His opposition to capital gains tax, which could provide a more progressive approach to taxation, exacerbates this sense of inequality. While wealthy property owners like Luxon profit from the current tax system, many Pacific and Māori families struggle to meet basic housing needs in a market where homeownership is increasingly out of reach​(RNZ).



Furthermore, Luxon’s decision to roll back the Medium Density Residential Standards (MDRS), a policy aimed at increasing affordable housing in urban areas, threatens to deepen the housing crisis for Pacific and Māori communities. These communities are often reliant on affordable urban housing, and the MDRS was designed to provide more housing in areas close to jobs, services, and public transport​(interest.co.nz )​(RNZ). By shifting the focus to suburban "greenfields" developments, the rollback may limit access to affordable housing for families in these vulnerable communities, exacerbating overcrowding and homelessness​(RNZ)​(NewstalkZB).


Equality vs Inequality: A Question of Fairness

The contrast between Luxon’s personal success and the struggles faced by Pacific and Māori communities highlights a broader question about equality and inequality in New Zealand. Luxon’s emphasis on hard work and personal responsibility may resonate with some, but it risks reinforcing a narrative that ignores systemic disadvantages. For Pacific and Māori people, achieving financial stability and homeownership is not just about hard work; it is about addressing the deeply rooted inequities that exist within the education system, housing market, and labour force ​(Wikipedia).



While Luxon’s policies may appeal to those who are already well-positioned to benefit from New Zealand’s economic system, they fall short of addressing the inequalities that keep many Pacific and Māori families from achieving the same success. Without targeted policies aimed at reducing inequality—such as capital gains tax or maintaining affordable housing standards—Luxon’s vision of equality may remain out of reach for many non-Pākehā communities.


Bridging the Gap

The debate over equality versus inequality in New Zealand cannot be separated from the experiences of its Pacific and Māori communities. Luxon’s wealth and policy decisions serve as a reminder that hard work alone is not enough to overcome the systemic challenges faced by these groups. To truly address inequality, New Zealand’s policies need to account for the unequal starting points and the structural barriers that prevent many from achieving the same level of success. Whether through fairer tax policies or more accessible housing solutions, the path to equality for Pacific and Māori communities requires more than just personal responsibility—it demands systemic change.






Comments


smi_2.png
SMI-Logo-2024.jpg

Numera Samoa: +68525799

Numera NZ: +6421820594 fesili mo Maiava Leslie Wulf

O le tatou imeli: salesnz@smisamoa.ws

bottom of page